Case Details

Honduras Próspera Inc., St. John’s Bay Development Company LLC, and Próspera Arbitration Center LLC v. Republic of Honduras (ICSID Case No. ARB/23/2)

Subject of Dispute:

Real estate projects, insurance, and other services
Economic Sector:

Other Industry
Instrument(s) Invoked:

Investment Agreement (Agreement for Legal Stability and Investor Protection- ("LSA")), CAFTA-DR (Dominican Republic-Central America Free Trade Agreement)
Applicable Rules:

ICSID Convention - Arbitration Rules

(a) Original Proceeding

Claimant(s)/Nationality(ies):

Honduras Próspera Inc. (U.S.), St. John’s Bay Development Company LLC (U.S.), Próspera Arbitration Center LLC (U.S.)
Respondent(s):

Republic of Honduras (Honduran)
Date Registered:

February 3, 2023
Date of Constitution of Tribunal:

January 29, 2024

Composition of Tribunal

President:

Juan FERNÁNDEZ-ARMESTO (Spanish) - Appointed by the Secretary-General
Arbitrators:

David W. RIVKIN (U.S.) - Appointed by the Claimant(s)
Raúl E. VINUESA (Argentine, Spanish) - Appointed by the Secretary-General

Party Representatives

Claimant(s):

White & Case, New York, NY, U.S.A., Washington, D. C. and Mexico City, Mexico
Respondent(s):

Procuraduría General de la República, Tegucigalpa, Honduras
Foley Hoag LLP, Washington, D.C., U.S.A.
Jana & Gil Dispute Resolution, Santiago, Chile
Language(s) of Proceeding:

English,Spanish
Status of Proceeding:

Pending
Latest Development:

February 26, 2025 - The Tribunal issues a decision on the Respondent’s preliminary objections pursuant to CAFTA-DR Article 10.20.5.

(a) Original Proceeding

Published Decisions

The Chairman's Decision on the Respondent's Proposal for Disqualification of arbitrator David W. Rivkin

Procedural Order No. 1

Notice of Intent

Claimants' Request for Arbitration

Respondent's Preliminary Objection under Article 10.20.5 of the DR CAFTA

Claimants' Observations on Respondent's Preliminary Objection

Respondent's Reply on the Preliminary Objection

Claimants' Rejoinder on the Preliminary Objection

Procedural Order No. 2

Procedural Order No. 3

Hearing on Preliminary Objections (English;Spanish;)

Hearing on Preliminary Objections Transcript

Procedural Order No. 4

Decision on Preliminary Objections Under Article 10.20.5 of CAFTA-DR

Available on the ICSID Website

The Chairman's Decision on the Respondent's Proposal for Disqualification of arbitrator David W. Rivkin (August 7, 2024) English (Original)

Procedural Order No. 1 (September 19, 2024) English (Original)

Notice of Intent (September 16, 2022) English (Original); Spanish (Original)

Claimants' Request for Arbitration (December 19, 2022) English (Original)

Respondent's Preliminary Objection under Article 10.20.5 of the DR CAFTA (August 30, 2024) Spanish (Original); English (Translated)

Claimants' Observations on Respondent's Preliminary Objection (September 26, 2024) English (Original); Spanish (Original)

Respondent's Reply on the Preliminary Objection (October 25, 2024) Spanish (Original); English (Translated)

Claimants' Rejoinder on the Preliminary Objection (November 25, 2024) English (Original); Spanish (Original)

Procedural Order No. 2 (December 10, 2024) English (Original)

Procedural Order No. 3 (December 15, 2024) English (Original); Spanish (Original)

Hearing on Preliminary Objections Transcript (December 16, 2024) English (Original); Spanish (Original)

Procedural Order No. 4 (January 24, 2025) English (Original)

Decision on Preliminary Objections Under Article 10.20.5 of CAFTA-DR (February 26, 2025) English (Original)

(a) Original Proceeding

Date	Development
February 3, 2023	The Secretary-General registers a request for the institution of arbitration proceedings.
April 20, 2023	Following appointment by the Claimants, David W. Rivkin (U.S.) accepts his appointment as arbitrator.
November 15, 2023	Following appointment by the Secretary-General, Raúl E. Vinuesa (Argentine/Spanish) accepts his appointment as arbitrator.
January 26, 2024	Following appointment by the Secretary-General, Juan Fernández-Armesto (Spanish) accepts his appointment as presiding arbitrator.
January 29, 2024	The Tribunal is constituted in accordance with Article 37(2)(b) of the ICSID Convention. Its members are: Juan Fernández-Armesto (Spanish), President, appointed by the Secretary-General; David W. Rivkin (U.S.), appointed by the Claimants; and Raúl E. Vinuesa (Argentine/Spanish), appointed by the Secretary-General.
February 19, 2024	The Respondent files a proposal for disqualification of arbitrator David W. Rivkin. The proceeding is suspended in accordance with ICSID Arbitration Rule 22(2).
March 12, 2024	The Claimants file observations on the proposal for disqualification.
March 13, 2024	The arbitrator files a statement regarding the proposal for disqualification in accordance with ICSID Arbitration Rule 22(1).
March 20, 2024	Each party files a response on the other party’s observations.
August 7, 2024	The proposal for disqualification of arbitrator David W. Rivkin is declined by the Chair of the Administrative Council. The proceeding is resumed pursuant to ICSID Arbitration Rule 22(2).
August 30, 2024	The Respondent files preliminary objections pursuant to Article 10.20.5 of CAFTA-DR.
September 19, 2024	The Tribunal issues Procedural Order No. 1 concerning procedural matters.
September 26, 2024	The Claimants file observations on the Respondent’s preliminary objections pursuant to Article 10.20.5 of CAFTA-DR.
October 25, 2024	The Respondent files a reply on preliminary objections pursuant to Article 10.20.5 of CAFTA-DR.
November 25, 2024	The Claimants file a rejoinder on preliminary objections pursuant to Article 10.20.5 of CAFTA-DR.
December 6, 2024	The President of the Tribunal holds a pre-hearing organizational meeting with the parties by video conference.
December 10, 2024	The Tribunal issues Procedural Order No. 2 on the organization of the hearing.
December 15, 2024	The Tribunal issues Procedural Order No. 3 on applications to intervene by amicus curiae.
December 16, 2024	The Tribunal holds a hearing on preliminary objections by video conference.
January 24, 2025	The Tribunal issues Procedural Order No. 4 on applications to intervene by amicus curiae.
February 21, 2025	Each party files a submission on costs.
February 26, 2025	The Tribunal issues a decision on the Respondent’s preliminary objections pursuant to CAFTA-DR Article 10.20.5.